All Forum Posts by: Hardy Davis

 @Dave Foster thanks for the reply great information. For the 1031 can I put it into multiple cheaper properties. I.e. if it’s 500k of gains on a 1.0M property for simplicity sake. Can I 1031 exchange into  5 100k down payments for 5 properties that are of like kind but lower value than original property? I assume all would have to abide by the timeline restrictions if I am able to do that? Thanks for the help!

 Don,

great point. I’m in a great appreciation market but no cashflow. I would like to be on about a 10-15 year out from retiring so equity is probably the goal. What does that look like when im ready to cash out equity? In my head it’s a 1031 into a nice safe property with a hefty down payment. Lower risk but more consistent cash. 

 Ya good point. I don’t think I qualify for the 121 exclusion since it’s been house hacked and I actually made 75% of the house a rental property and filed taxes using deductions and depreciation.  It was my primary residence for the past 4 years. Does it still qualify for the exclusion? 

Thanks for the help! 

Howdy BP community. I had my first house hack go very well in a class A neighborhood. Since then I’ve moved out rented it out and working on a live and flip for  my second property (sf) so I can have a house of my own with my girlfriend and make some more capital from it. I have about $500k in stocks and about $600k in equity in my single family house that I rent out. I’m very grateful and lucky my investments have built so much equity and capital but I would like to move it into monthly cashflow so I can work away from a w-2. My area (Anacortes Wa) doesn’t seem like a good market for multi family. What are the next steps you all would recommend to transfer equity into monthly income. Also if you can be specific for finance options. My guess is to 1031 into an 8 unit. Thanks for all the help and guidance. 

Hi BP community. I’m working on a fix and flip deal. I am not very liquid at the moment. I have lots of saving in stocks. I also have the ability to take a $50k loan that would cover my closing costs. It would be 15 year loan at 4.5% that would get paid when I sell in about 3 years, amounting to $325/month. My question is would you guys rather sell stocks and take a long term cap gains at 15% tax rate, or take a loan and keep the stocks growing. Any opinion is appreciated. 

 The way I see it, cash flow is insurance to my investment. For me the real return comes from depreciation and saving on taxes. Then the appreciation on market and equity gained after 5 years. Is anyone getting cash flown with 7% interest? 

Todays 30 year fixed rate mortgages are an astonishing 7.1% Based off that I am finding a lot of properties that, if at a 3.5% interest rate, would have a great 9% C on C return. Unfortunately at 7.1% I am seeing basically a 0% C on C return. Is it worth it to take a lower return and hope to refinance later? At least I will build equity and have some tax advantages, or even pay a lower price as a result of the high interest rates. Thanks for reading and please let me know what you smart large pocket investors are thinking for investing in this market. 

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Hey everyone, I am new on here. This would be my first 4 unit. Looking for people to provide their 2 cents on the finances. Basically is $0 cash flow on 1st year worth it? I assume I could refinance lower than 7.1% within the next few year so that would be nice. Thanks for any help in advance. Please let me know if you have any questions.

Link to Zillow: https://www.zillow.com/homedetails/690-Bld-I-NW-Oak-Harbor-W...